The fear of Amazon third-party sellers losing sales and access to their accounts due to suspension, regardless of whether it is justified, outweighs concerns about product returns and cart abandonment.
Regardless of how long the suspension is, being banned from Amazon can damage your income and your life.
That is especially true if you rely solely on the Amazon marketplace for income and don’t have a backup eCommerce site, brick-and-mortar store, or regular job.
Being banned is like losing a leg since you cannot cover your regular expenditures.
A third-party seller’s Amazon account may be suspended for several reasons, including late responses or shipments, a high rate of order defects, a high percentage of order cancellations, etc.
Additionally, it can be upsetting when a seller is barred due to another party’s actions rather than their own.
Did you know that some Amazon sellers would go so far as to offer substantial sums of money in exchange for phony evaluations of the goods of their biggest rivals?
It’s good that you can take action now because some insurance providers provide Amazon suspension coverage.
Protect yourself and your business
Without warning, anyone can be banned from Amazon, regardless of their seller rating or other performance indicators.
You hope you never have to go through it, but since the chances are good that you won’t, you might as well discover a means to safeguard yourself and your company in case it does.
One of the insurance businesses selling insurance plans to reimburse merchants for missed sales and expenses during an Amazon suspension is Lloyd’s of London, which rose to an international reputation by insuring the body parts of celebrities.
The coverage limits range from $50,000 to $1,000,000 for 30 to 180 days and are available for companies of all sizes.
Your annual sales, the length of time you’ve been selling on Amazon, and your average feedback rating are just a few variables that affect how much you pay each month.
Vendors who have previously been suspended are eligible to apply for coverage, although this will also affect their premiums.
Be reinstated and receive a payout
If you are banned from Amazon, you may receive your compensation in addition to having your account restored within 72 hours.
Your average gross sales volume plus typical daily expenses will determine how much you will receive.
Remember that your coverage won’t kick in until the waiting period allowed by your insurance has passed.
Your daily expenses throughout that period are expected of you; thus, they are categorized as your insurance deductible.
You won’t be able to claim benefits from your policy if Amazon lifts your ban before that period.
It’s comforting to know that third-party merchants now have a choice to protect what they’ve worked so hard for because getting suspended from Amazon is no laughing matter.
